SEP 2024 Guidebook - v1.0

SERVICE EXCELLENCE
SERVICE
EXCELLENCE
PROGRAM 2024 / 2025 GUIDEBOOK
Caterpillar: Confidential Green

SERVICE EXCELLENCE OVERVIEW CATEGORIES 1 2 3 APPENDIX
Cat dealers are independent businesses and as such must make independent decisions. The Dealer Excellence Programs do not affect the responsibility of each participating Cat dealer to
independently develop and promote the sale and service of Cat products. The content of the Programs represents jointly developed expectations to improve the participating Cat dealer’s operations,
organizations and facilities and the like in the context of the categories and topics covered in the Operational Excellence Programs. The Programs do not guarantee any outcome or result; they are,
however, intended to help to improve participating Cat dealers’ processes and capabilities which are key foundations for being successful. These Programs may change from time to time. The
Programs and the results of assessments are not intended for third-party use.
Caterpillar Confidential: Green | © 2024 Caterpillar. All Rights Reserved. SEP 2024 Guidebook_v1.0 2
Table of Contents
Product Improvement Program (PIP) 24
Service Data Quality (SDQ) 25
Operational Excellence Elements

OVERVIEW Technician Capacity (Tech Plan) 26
Operational Excellence Programs at a Glance 4 Service Net Loyalty Score (NLS) 27

Last Labor to Invoice (LLTI) 28
Grow & Evolve Capabilities 5
Technician Productivity (TP) 29
Five Dealer Operational Excellence Programs 6
Profit After Direct Expense (PADE) 30
Guiding Principles 7
Connection to Leadership Tables 8 Services Growth Elements
Service Excellence Overview 9 Inspection Rate 31
Customer Value Agreement (CVA) Accuracy 32
Service Excellence Connection to Global Service Strategy 10
Condition Monitoring Analyst (CMA) Recommendation Coverage 33
Dealer Practices for Service 10
Service Response 34
Service Excellence Introduction 11
Service Experience 35
What is Service Excellence? 12
Rebuild Capability (CRCA) 36
Why it Matters 13
Standard Jobs (SJ) – Repair & Rebuild 37
What’s in It for Dealers & Customers? 13
Remote Service (Remote Flash & Remote Troubleshoot) 38
What’s Changed? 13
What’s Included? 14 APPENDIX 39
Metric Elements 15 Acronymns 40
Attribute Elements 15 SEP Metric & Attribute Data Source & Calculation Frequency Summary 41
Service Excellence Attributes Assessment 15 Caterpillar Roles & Responsibilities 42
How Is Data Collected? 16 Service RIF – Service Department Personnel Inclusions & Exclusions 43
How Are Results Communicated 16 SMCS Codes – Service Data Quality (SDQ) 44
Scoring Methodology 17 SMCS Codes – Standard Job (SJ) 45 & 46
Scoring Methodology 18 SMCS Codes – Customer Value Agreements (CVA) Accuracy 47
Year-End Medal Calculation 19 CMA Recommendation Coverage – Sample Calculation 48
SERVICE EXCELLENCE PROGRAM CATEGORIES 20 Rebuild Capability – Component Rebuild Capability Assessments (CRCA) Process 49
Guidebook Change Log 50
Safety & Quality Elements
Service Recordable Injury Frequency (RIF) 21
Contamination Control (CC) 22
Technician Capability (TCDPA) 23
OPERATIONAL EXCELLENCE PROGRAMS AT A GLANCE

IN THIS SECTION:
OPERATIONAL EXCELLENCE PROGRAMS AT A GLANCE
Grow & Evolve Capabilities
Five Dealer Operational Excellence Programs
Guiding Principles
Connection to Leadership Tables
Grow & Evolve Capabilities

In the past, Caterpillar’s strategic focus primarily targeted products and distribution. Standards
were developed to help dealers address gaps in foundational capabilities. Over the past few years,
the efforts of the Cat dealer network have largely paid off — most Cat dealers have made
tremendous strides in improving their foundational capabilities.
To support Cat dealers in developing the capabilities needed to achieve their strategic targets for
accepted business cases, Caterpillar introduced Excellence Programs. Participating dealers can EMPHASIZE SAFETY
use these Operational Programs to help improve their capabilities and capacity to execute the
business case projects that have been agreed to at the Leadership Tables.
POSITIVE, CONSISTENT
The Excellence Programs are intended to benefit both Caterpillar and participating Cat dealers by CUSTOMER EXPERIENCE
helping drive excellence and consistency in capabilities, providing visibility into dealer practices,
and recognizing Cat dealers for their performance and commitment to excellence. By improving
Excellence Program performance, Cat dealers will be better positioned to achieve their unique PROFITABLE GROWTH
strategic priorities and Leadership Table commitments in line with Caterpillar’s enterprise strategy
for operational excellence.
Five Dealer Operational Excellence Programs

Caterpillar and Cat dealers must continually grow and evolve operational capabilities to continue as industry leaders and remain customers’ first choice. Achieving operational excellence will allow
Caterpillar and Cat dealers to deliver more customer value and produce profitable growth. To get there, all Cat dealers are encouraged to leverage the five Operational Excellence Programs.
Guiding Principles
• Support Enterprise Strategy
• Simplify...Focus on Critical Few
• Focus on Driving Business Outcomes
• Raise the Bar
• Measure Operational Performance
• Prioritize Common Industry Elements
• Global Consistency
• Recognition for Performance
• Alignment to CDID/ Dealer Master Tool
Operational Excellence Programs make dealer successes and improvement

opportunities visible, so Cat dealers can take a unique, strategic approach to
growth. They were developed and refined with input from dealers, industry groups
and Caterpillar process experts to help position dealers for operational
excellence.
All programs share a common structure and follow the same guiding principles.
Each program consists of 2-5 categories, aligned to the strategic intent that the
program is pursuing. Categories consist of both attributes and metrics that
together determine the dealer’s performance level for that Excellence Program:
Non-Scoring, Bronze, Silver, or Gold. Understanding Operational Excellence
Program performance helps us all identify and prioritize improvement actions.
Connection to Leadership Tables

All Operational Excellence Programs are designed to help develop dealer capabilities that support Leadership Table deliverables. Cat dealers are encouraged to take on additional initiatives to close
existing gaps uncovered during the program assessment, but this will be the result of a prioritization and alignment process between the dealership and Caterpillar.
SERVICE EXCELLENCE OVERVIEW

IN THIS SECTION:
SERVICE EXCELLENCE OVERVIEW

Service Excellence Connection to Global Service Strategy
Dealer Practices for Service
SERVICE EXCELLENCE INTRODUCTION

Exclusions for Service Excellence
What is Service Excellence?
Why It Matters
What’s in It for Dealers & Customers?
What’s Changed?
What’s Included?
Metric elements
Attribute elements
Service Excellence Attributes Assessment
How Is Data Collected?
How Are Results Communicated?
Scoring Methodology
Year-End Medal Calculation
Service Excellence Connection to Global Service Strategy

The Global Service strategy is to enable a differentiated and superior customer service experience,
resulting in sustainable and profitable services growth with a focus on safety, quality and efficiency.
The goal is to enable both dealer and customer service success by leveraging digital capabilities,
technology, world class training and accurate service information to deliver the desired outcomes.
3 Strategic Priorities
• Superior Customer Service Experience

• Profitable Services Growth
• Safety, Quality & Efficiency
Key Areas of Focus
• People & Safety: Primary focus is on the safety of our people and the technicians that diagnose,
maintain, and repair our products. We also attract, develop, and retain the best talent through a
focus on employee experience.
• Quality and Operational Excellence: Create service deliverables and information efficiently to
support NPI. Continuously raise the bar in operational performance as a competitive advantage.
• Service Capability and Capacity: Leverage digital and technology to enable the service process,
deliver training to support technician development, and develop world-class service operations.
• Services Growth: Develop the necessary capabilities to provide competitive and differentiated
service offerings.
• Energy Transition: Sustain and grow our service differentiation as we transition to new energy
solutions powering our products.
Dealer Practices for Service

• Dealer Practices for Service
Service Excellence Introduction

As the world continues to change, customers’ needs continue to evolve. Caterpillar’s distribution model, which has historically delivered unmatched support, is increasingly measured on competitive
offerings and at global standards. Today, significant variations in dealer performance and service capabilities across the dealer network exist, resulting in a recognizably inconsistent customer
experience. Therefore, as dealer business and strategic initiatives continue to evolve, so must our Service Excellence Program (SEP).
Service encompasses a significant portion of dealers’ operations and their business. We have received feedback from dealers on the level of importance within the metrics and attributes and their
impact on service. As part of the 2-year cycle of all Operational Excellence programs, we have fine-tuned the programs and raised the bar to challenge dealers and Caterpillar to:
• Focus on core business outcomes

• Help drive improvements in dealer capability to support profitable growth and customer loyalty
• Help deliver an exceptional customer experience across the distribution network
• Build capabilities and consistencies within our organizations
Caterpillar will continue to raise the bar on the critical building blocks to increase customer satisfaction and to help dealers improve their capabilities. SEP will continue to have a program structure
focusing on key categories of the dealership service operations: safety and quality, operational excellence, and services growth. Service metric elements measure performance results whereas
service attribute elements measure both behavioral and objective qualities for a dealer.
There are other service metrics and service attributes used by Caterpillar and the dealers to measure performance that are not specifically included in SEP. This program is not intended to replace
but instead to complement these metrics and attributes.
Exclusions for Service Excellence

SEP applies to all Cat branded service-related businesses, excluding lift truck. The option to exclude performance results of Rental Services for Contamination Control, Technician Capacity,
Technician Productivity, and Last Labor to Invoice will be left to the discretion of the District. Dealer monthly work orders are also excluded in SEP calculations.
What is Service Excellence?

Purpose: The Service Excellence Program is focused on the behaviors of a service organization that provide a foundation for operational excellence and enable services growth.
Achieving operational excellence under our enterprise strategy will allow us to deliver more customer value and achieve profitable growth. We – Caterpillar and Cat® dealers – must continually grow
and evolve our capabilities to ensure we remain leaders in our industries – and our customers’ first choice.
Service Excellence should represent all brands in the Caterpillar portfolio. It is something for which we must be known.
Why it Matters What’s in It for Dealers & What’s Changed?

Customers?
Parts and service represents a significant portion of dealer The Service Excellence Program will continue to measure
profitability, but Caterpillar’s and the dealers’ success in both qualitative capability and quantitative performance
parts and service is at risk. Why? It’s simple: We face more The Service Excellence Program helps dealers move from results. What has changed:
competitors, and our customers have more service options foundational to transformational capabilities that enhance
the overall customer service experience by: • Focus on the individual elements by removing the
today than ever before. In addition, significant variation in
service performance and capabilities across our dealer Metrics and Attribute categories and weightings
• Improving labor safety performance • Increased metrics elements from 12 to 17 and
network results in an inconsistent customer experience. • Continually improving service capability, processes,
The Service Excellence Program raises the bar on reduced attributes from 4 to 1
tooling, and support to exceed customer needs • Reduction in demonstrated capabilities in the
delivering an exceptional customer experience across the • Creating a framework to consistently deliver service
distribution network by building capabilities and attributes from 30 to 6
to customers with operations in more than one • Changed individual element weightings
consistencies among the organizations. service territory
• Maintaining standards and recognition to drive a More information can be found in the Appendix and Job
superior customer experience Aides
What’s Included?
The Service Excellence program consists of 18 elements The categories align with Caterpillar’s strategy and focus • Safety & Quality – focusing on doing the work safely
(17 metric elements and 1 attribute element) that have on the processes and outcomes that support it. The while striving for the best in quality.
been grouped into three categories. categories include: • Operational Excellence – focus on financial and
operational stability for service.
• Services Growth – focusing on efficient and effective
service delivery to align with customer needs and
expectations.
Metric elements
The program includes 17 metric elements comprised of 23 measures which are performance indicators that represent service excellence. Each metric has four demonstrated performance levels:
BASIC, EMERGING, ADVANCED AND EXCELLENT. If minimum criteria for EMERGING is not met, the result is BASIC, resulting in zero (0) points. All metrics will be reported on a quarterly basis
and a demonstrated performance level will be determined. Additional information about each metric is found later in this guidebook.
Attribute elements
The program includes one attribute element (Service Experience) comprised of 6 questions that contain capabilities and processes which complement the Service Commitment
initiative. The attribute element represents behaviors or capabilities that are critical to successful service activities, and which should provide sustainability of the service metric
elements. A dealer’s level of maturity for the attribute element is based on which demonstrated capability level is met during their assessment: BASIC, EMERGING, ADVANCED
OR EXCELLENT. If minimum criteria for EMERGING is not met, the result is BASIC, resulting in zero (0) points. Additional information about the attribute element is found later in
this guidebook.
Service Excellence Attribute Element Assessment

Attribute and metric elements are evaluated separately. • Follows a question format with “YES” or “NO” • Evidence of demonstrated capabilities must be
The attributes assessment must be completed as responses to determine demonstrated capability provided by the dealer for verification (if requested)
follows: level – Materials provided must be recent or within 12
• Each capability must be met within the maturity level months
• Conducted annually (at minimum)
to earn credit for a specific attribute
• Performed by the district Product Support Operations *NOTE: Attribute assessments will carry through for the
– To receive credit for increasing maturity levels,
Representative (PSOR) working with dealer service all capabilities from previous levels must have year.
management been met
• Results are loaded into the online tool Interface
How Is Data Collected?

Automated and Dealer self-reported elements: The majority of SEP elements are available via CDDW and they are collected automatically by the Caterpillar Service Excellence Team.
The elements not available via CDDW that require Self-reporting are Technician Productivity, Technician Capacity, Service RIF and Service Response. These are collected via the following methods:
1) Dealer Sefl-Reporting Tool, 2) Hard Asset Tool, 3) Safety Reporting tool, 4) Production Sterling Integrator Mailbox. See the Appendix for more detail.
Service Element Results NOTE: Self-Reported elements (Service RIF and Service Response) must be reported on time each month, or
these elements will be scored as zero (0) for that month in the Service Excellence dashboard. For these
Quarter Service Element Results Reporting Window
Due by 5:00pm (U.S. Central Time) elements, as well as Technician Productivity and Technician Planning, if data is not received before the close of
1 April 1 – 20 the quarterly reporting window a score of zero (0) will be reported for any missing results and quarterly medal
results will be impacted.
2 July 1 – 20
All dealers should complete the SEP Dealer Self-Reporting Tool (DSRT) which should be downloaded from the
3 October 1 – 20
Service Excellence SharePoint site. Dealers should contact their PSOR to upload the completed DSRT file into
4 January 1 – 20 their designated SharePoint file folder before the close of each quarter’s reporting window.
NOTE: The date parameters for calculations within the DSRT are reset each quarter; best practice is to check
Attribute Element Demonstrated Capability Level Results the SharePoint site for the latest version before loading the file with data. Submissions received after the close of
the quarterly reporting window will not be considered and a score of zero (0) will be reported for any missing
Quarter Demonstrated Capability Level Assessment Reporting Window
Due by 11:59pm (U.S. Central Time) result. All results are subject to review.
1 January 1 – March 31
All attributes assessment results for the demonstrated capability levels must be submitted by the PSOR into the
2 April 1 – June 30 Interface before the close of each quarter’s reporting window.
3 July 1 – September 30 NOTE: Attribute assessments will carry through for the year. All results are subject to review.
4 October 1 – December 31
How Are Results Communicated?

Results will be published 45 days after the close of each quarter and will be available in Operational Excellence Power BI and Service Excellence Power BI. Dealers may request access to the Power
BI dashboards via their PSOR. A unique Corporate Web Security (CWS) ID is required to receive access.
NOTE: Dealers residing under the same Caterpillar parent dealer code may be eligible to report Service Excellence Program results under more than one SEP dealer code, but only if reported results
are completely independent of each other. For questions about this option, please contact your PSOR.
Scoring Methodology
• Category scores are rolled up to determine the overall program score, which determines the program medal.
• The dealer’s actual score is represented as a percentage of the total.
• All calculated results will be displayed to two (2) places beyond the decimal. (Example: 39.7493836% will be displayed as 39.74%)
• No SEP element or category values will be rounded.
NOTE: The final overall program score is the only value which will be rounded to a whole number. (Example: 39.50% is rounded to 40% (BRONZE) and 39.49% is rounded to 39% (NON-
SCORING))
Scoring Methodology
Scoring consists of two major components:
1. Category Scoring – Sum of dealer’s element percentage scores
2. Overall Program Score – Sum of dealer’s weighted Category Scores
(Rounded to nearest whole number)
To achieve a medal:
Gold: 75% +
(All categories must be above silver)
Silver: ≥ 60% and < 75% on the program score

(All categories must be above bronze)
Bronze: ≥ 40 and < 60% on the program score

(No minimal category level required – based on % score only)
Non-Scoring: < 40%
NOTE: For Gold and Silver, if all categories do not meet minimal requirements, the dealer is
awarded one medal lower than overall % score.
Year-End Medal Calculation
2024 and 2025

The year-end medal is determined by taking the higher scoring combination of
either the last two (2) quarters of the year or the three (3) highest scoring quarters of the year, and then selecting the lowest medal from that
subset.
Year-end medal calculation allows for validated and stabilized metrics and attributes across Operational Excellence Programs and additional
time to complete baseline assessments.
Service Excellence Program Categories

IN THIS SECTION:
SAFETY & QUALITY

Elements (5)
Service Recordable Injury Frequency (RIF)
Contamination Control (CC)
Technician Capability (TCDPA)
Product Improvement Program (PIP)
Service Data Quality (SDQ)
OPERATIONAL EXCELLENCE
Elements (5)
Technician Capacity (Tech Plan)
Service Net Loyalty Score (NLS)
Last Labor to Invoice (LLTI)
Technician Productivity (TP)
Profit After Direct Expense (PADE)
SERVICES GROWTH
Elements (8)
Inspection Rate
Customer Value Agreement (CVA) Accuracy
Condition Monitoring Analyst (CMA) Recommendation Coverage
Service Response
Service Experience
Rebuild Capability (CRCA)
Standard Jobs (SJ)
Remote Service (Remote Flash & Remote Troubleshoot)
SAFETY & QUALITY | METRIC ELEMENT PURPOSE: Percent of

To encourage implementation of safe work practices by dealers. Program Score:
Service Recordable Injury 8%
Frequency (RIF)
DATA SOURCE:
Cat® Safety Reporting Tool (ADSD & EAME)
APD Dealer Safety Reporting Tool
TIME PERIOD:
Measured quarterly but reported on a YTD basis: FORMULA:
Q1 Results = January – March Service RIF Number of Work-Related Recordable Injuries in Service X 200,000
Q2 Results = January – June Service RIF Total Hours Worked in Service
Q3 Results = January – September Service RIF
Q4 Results = January – December Service RIF DEMONSTRATED PERFORMANCE LEVELS:
GLOBAL EMERGING ADVANCED EXCELLENT
REQUIREMENTS:
Target ≤ 1.3 ≤ 0.8 ≤ 0.5
• A recordable case is any work-related injury or illness that requires medical
treatment beyond first aid. Recordable Injury Frequency (RIF) equals the Score/Points 1 2 3
number of work-related recordable injuries per 200,000 hours worked. Service
RIF results are service department specific. If minimum criteria for EMERGING is not met, the result is BASIC, resulting in zero (0) points.
• Dealers are required to submit monthly Service Safety Results by the 10th
calendar day of the month. CATERPILLAR RESOURCES AND REFERENCES AVAILABLE:
• See in Appendix: Service RIF – Service Department Personnel Inclusions & • Cat® Safety Reporting Tool (ADSD and EAME)
Exclusions. For example, Rental Service is excluded. • APD Dealer Safety Reporting Tool
• Safety Dashboard (ADSD and EAME)
DATA COLLECTION RESPONSIBILITY: • Safety Dashboard (APD)
Dealer self-reported using the Safety Reporting Tool • Safety Capability Resource
– Dealer Safety Metrics: Definitions and Process for further details on the metric and measuring safety.
• Safety – Personal and Product Safety

Effective Contamination Control (CC) contributes to an increase in safety and quality in the Program Score:
Contamination Control (CC) workshop and presents a professional image to the customer. 4%
DATA SOURCE:
Cat® Inspect
TIME PERIOD:
FORMULA
Rolling 12-months (Full CC audit):
Number of Facilities with a 3-star Score or Better in Cat® Inspect
REQUIREMENTS: Total Dealer Facilities
• Results must be submitted into Cat Inspect using only Cat forms. Other types
of dealer forms will not be accepted.
• One (1) full CC assessment per facility is required annually (at minimum) DEMONSTRATED PERFORMANCE LEVELS:
– Assessments expire 365 days after the last completion date
• Assessments must be completed by a certified auditor GLOBAL EMERGING ADVANCED EXCELLENT
• Numerator: Number of Facilities with a 3-star score or better in Cat Inspect Target ≥ 75% ≥ 85% ≥ 95%
• Denominator: Total number of dealer facilities Score/Points 1 2 3
DATA COLLECTION RESPONSIBILITY: If minimum criteria for EMERGING is not met, the result is BASIC, resulting in zero (0) points.
Automated by Caterpillar Service Excellence Team
CATERPILLAR RESOURCES AND REFERENCES AVAILABLE:

• Cat® Inspect – Contamination Control Dealer Assessment
• Contamination Control Analysis
• Global Contamination Control Governance and Guidelines
• Dealer Performance Center (DPC) – Contamination Control Certification 54069

Developing the right technician skillsets is critical for both the dealership and for each individual Program Score:
Technician Capability (TCDPA) technician to perform his/her role in improving the customer’s service experience; and retaining 5%
DATA SOURCE: best talent. In addition to personal development, enabling technicians to maximize their efficiencies
TCDPA SharePoint and deliver optimal customer satisfaction.
TIME PERIOD: FORMULA

(% Total Compliance of Technician Career Development) ProcessTCDPA Points (TCDPA)):
Accreditation Dealer Acquires
Quarterly
Total Available Points
REQUIREMENTS:
• TCDPA Scoring Tool access requires the dealer Training Manager to contact DEMONSTRATED PERFORMANCE LEVELS:
the regional GDL Service Learning Consultant GLOBAL EMERGING ADVANCED EXCELLENT
NOTE: The TCDPA Scoring Tool is a SharePoint folder that limits access to the Target ≥ 60% ≥ 85% ≥ 95%
dealer training team for their dealer specific data
• For all scores ≥ 95% (Excellent Rating) a final audit must be conducted either Score/Points 1 2 3
in-person or virtually by GDL Service-Learning Consultant. See TCDPA
Guidebook for additional details on final audit If minimum criteria for EMERGING is not met, the result is BASIC, resulting in zero (0) points.
• Minimum overall score of 95% with absolutely no red items is required to be
granted “Excellence in Technician Development”
DATA COLLECTION RESPONSIBILITY:


• TCDPA Guidebook
• Regional MAP – GDL Service-Learning Consultants

Ensure timely completion of current PIPs and resolution of outstanding PIPs to drive product Program Score:
Product Improvement Program (PIP) quality. 4%
DATA SOURCE:
Product Information System (PIS)
Business Information Center (BIC)
TIME PERIOD: DEMONSTRATED PERFORMANCE LEVELS:

Rolling 12-months Product Improvement Program (PIP) Scoring Calculation
Max Points Available = 9 Points
REQUIREMENTS: Overall Results = Total Points Earned/Total Points Available
• All dealer codes, independent of industry segments, roll-up into SEP results for If minimum criteria for EMERGING is not met, the result is BASIC, resulting in zero (0) points.
Service Letter performance. SCORE / EMERGING ADVANCED EXCELLENT
POINTS 1 2 3
DATA COLLECTION RESPONSIBILITY: Element #1: Safety – Rolling Population
Automated by Caterpillar Service Excellence Team Affected units with Safety PIP released during the 12-month period, ending 12 months
Population
prior to report date.
CATERPILLAR RESOURCES AND REFERENCES AVAILABLE: Measurement Percent of population completed within 365 days of PIP release
• The Product Information System (PIS) may also be used as a tool for
Requirement ≥ 88% ≥ 93% ≥ 98%*
identifying applicable Service Letters which may affect this metric
• For information on how to administer Service Letters please refer to: *A 2% cushion has been built into the Excellent performance level. Expectation is still 100%.
⁻ Service Letters – General Guidelines Element #2: Safety – Aged Population
⁻ Service Letters – Job Aid on Population Affected units with Safety PIP that are greater than 365 days from release
https://catdealer.com/en/services-support/global-warranty.html
• Service Letter Tracking Report Measurement Count of population that is “open”
Requirement 11 to 25 6 to 10 0 to 5
Service Letter Release Dates for Safety and Priority R12 % Completion Measures
YEAR QTR FROM TO
Element #3: Priority – Rolling Population
1 1-APR-2022 31-MAR-2023 Affected units with Priority PIP released during the rolling 12-month period, ending 12
2 1-JUL-2022 30-JUN-2023 Population
2024 months prior to report date.
3 1-OCT-2022 30-SEP-2023
4 1-JAN-2023 31-DEC-2023 Measurement Percent of population completed within 365 days of PIP release
1 1-APR-2023 31-MAR-2024
Requirement ≥ 88% ≥ 93% ≥ 98%*
2 1-JUL-2023 30-JUN-2024
2025
3 1-OCT-2023 30-SEP-2024
*A 2% cushion has been built into the Excellent performance level. Expectation is still 100%.
4 1-JAN-2024 31-DEC-2024
PURPOSE: Percent of
SAFETY & QUALITY | METRIC ELEMENT Program Score:
Dealer service data quality is essential to monitor and analyze not only the dealer’s performance
Service Data Quality (SDQ) for the SEP metrics involving Standard Jobs and Customer Value Agreements (CVAs), but for 4%
DATA SOURCE: most operational aspects of the service department. Having a structured approach to
Cat Digital Data Warehouse (CDDW) data or understanding, analyzing, and managing the quality of data is foundational to continuous
Dealer Enterprise Resource Planning (ERP) System improvement in service.

(% of WO Segments with Recommended Caterpillar SMCS Codes
Quarterly
Segments Used): Work Order Segments
REQUIREMENTS:
• Only applies to Cat Equipment (Manufacture Code = AA) DEMONSTRATED PERFORMANCE LEVELS:
• Excludes all job code 056 (travel segments)
• Only includes invoiced work orders GLOBAL EMERGING ADVANCED EXCELLENT
• Numerator: Count of total dealer work order segments using recommended Caterpillar Target ≥ 85% ≥ 90% ≥ 95%
SMCS codes Score/Points 1 2 3
• Denominator: Count of total dealer work order segments, excluding operations
• See Appendix for SMCS Job & Component Codes NOT Recommended for Service Data If minimum criteria for EMERGING is not met, the result is BASIC, resulting in zero (0) points.
Quality (SDQ)
• CDDW reporting dealers: Automated by Caterpillar Service Excellence Team
• Non-CDDW reporting dealers: Dealer self-reported using the SEP DSRT

• Service Data & Process Standards website
• Learn More about ThoughtSpot
• SEP 2024 ThoughtSpot Liveboard (Use with VPN)
• For the complete list of SMCS codes, go to:
– SMCS Inquiry
▪ Select SMCS Complete Listings file for download
▪ SEP DSRT
OPERATIONAL EXCELLENCE | METRIC ELEMENT PURPOSE: Percent of

Technician Capacity (Tech Plan) Delivering service excellence requires decisiveness and a commitment to sustained action and
investment that is supported through a capacity and capability plan. Having a Cap & Cap plan
Program Score:
DATA SOURCE: 8%
aligned to a business plan and executed on time is essential for effective and profitable service
Hard Asset Tool (HAT)
growth at a dealership.
TIME PERIOD: FORMULA Technicians at End of Quarter

Measured quarterly but reported on a YTD basis
(Technician Capacity % of Plan): Technicians Planned at End of Quarter*
• Annually Reported – By end of Q1
– Number of technicians required to achieve current year plan:
▪ Charge hours to work orders (Reporting Quarter X Growth Needed**)
*Technicians Planned at End of Quarter = Baseline +
▪ Site-based MARC/TM&R 4
– Technicians at Year-End on December 31st of previous year
▪ Charge hours to work orders **Growth Needed = Plan – Baseline
▪ Site-based MARC/TM&R DEMONSTRATED PERFORMANCE LEVELS:
• Quarterly Reported – By 10th of Month after Quarter End
– Technicians hired in the quarter GLOBAL EMERGING ADVANCED EXCELLENT
– Field technicians: charge hours to work orders Target ≥ 90% < 92% ≥ 92% < 95%
≥ 95% ≤ 110%
– Shop technicians: charge hours to work orders >120% ≤ 130% >110% ≤ 120%
– Site-based technicians: MARC/TM&R Score/Points 1 2 3
REQUIREMENTS: Threshold 3-Year Technician Plan
• Dealer to submit to Caterpillar: Description of technicians
– Total number of technicians (shop and field) that record hours to work orders across all segments If minimum criteria for EMERGING is not met, the result is BASIC, resulting in zero (0) points.
– Total number of technicians that are full time on site: MARC/TM&R technicians THRESHOLD: 3-Year Technician Plan is available in HAT and refreshed every year
– Technicians that split time between Cat and other than Cat business lines but do not include 2024 Tech Plan includes 2024, 2025 & 2026 and 2025 Tech Plan includes 2025, 2026 & 2027
technicians solely dedicated to non-Cat business
– Technician trainees who do not charge billable hours and should not be included in count DATA COLLECTION RESPONSIBILITY:
▪ Aligns with DFRS guidelines for technician vs. technician trainee Dealer self-reported using the Hard Asset Tool (HAT)
– Do not include technicians dedicated solely to non-Cat business lines or other OEMs CATERPILLAR RESOURCES AND REFERENCES:
• Dealer to submit to Caterpillar: Description of technician hires in period
– Technicians who have graduated from trainee status into an active technician position (record • Cap & Cap Planning
hours/on site) • HAT Tool Link
– Outside talent hired directly into an active technician position (record hours/on site) • Technician Dashboard
– Does not include hires into a technician trainee role • HAT Training – Input Training for Technician Counts
Caterpillar will calculate the year-to-date actual number of technicians vs. plan for the year

Measuring Service Net Loyalty Score (NLS) reveals how customers interact with the service Program Score:
Service Net Loyalty Score (NLS) department throughout the customer experience lifecycle. The service department can then identify 4%
DATA SOURCE: opportunities to strengthen its reputation, increase customer loyalty and drive growth in revenue
Transactional Surveys from BIC and profitability.
TIME PERIOD: FORMULA:

Rolling 12-months Total Loyal Total at Risk
—
Total Number of Survey Responses Total Number of Survey Responses
REQUIREMENTS:
• The Service NLS is derived from the answers to the three main questions in
DEMONSTRATED PERFORMANCE LEVELS:
the Field Service, Shop Service and CVA transactional survey – Buy Again, GLOBAL EMERGING ADVANCED EXCELLENT
Recommend and Overall Satisfaction. Target ≥ 70% ≥ 77% ≥ 82%
• Minimum of 30 Field Service, Shop Service and CVA survey responses per Score/Points 1 2 3
rolling 12-month period required. Dealers with less than 30 responses per year
on the survey will be scored as zero (0). Threshold Minimum of 30 survey responses per rolling 12-month period
If minimum criteria for EMERGING is not met, the result is BASIC, resulting in zero (0) points.

• Transactional Surveys website
• Transactional Survey Program Business rules (e.g. Basic Questions)
• Transactional Survey Program FAQs

Last Labor to Invoice is a subset of WIP Management. WIP Management is a critical process in Program Score:
Last Labor to Invoice (LLTI) delivering customer satisfaction and dealer profitability. Careful service planning and execution 5%
DATA SOURCE: enables timely repair completion. A key element in this process is the time from the last labor day
CDDW in the W.O. to invoice. Timely invoicing helps reduce consumption of capital tied up in WIP and
helps improve the timeliness of invoice settlement.
TIME PERIOD:
Quarterly FORMULA Sum of days from last labor to invoice for work orders invoiced
(Days): Count of work orders invoiced
REQUIREMENTS:
• Work orders (external and internal) invoiced in the quarter will be used in this GLOBAL EMERGING ADVANCED EXCELLENT
calculation regardless of last labor date. Target ≤ 17 days ≤ 12 days ≤ 7 days
• Invoice back outs / Reinvoicing: Work orders that are reopened and invoiced
again will result in the most recent invoice date being used for the calculation Score/Points 1 2 3
which will impact the LLTI result
• The last labor date is captured using the date that labor was assigned to in the
system. This is not the date the labor was entered on or the “last labor date”
field that exists in some ERP systems.
– Example: Labor occurs on 10 May 2023 but is entered into the ERP on
26 May 2023. The last labor date is 10 May 2023.
Note: The metric creates an average of calendar days between Last Labor
and Invoice. This average of days is the measure.
Note: Segments with the latest last labor date will be used for the calculation
• Numerator: Sum of days from last labor to invoice for all work orders invoiced in the quarter
• Denominator: Count of all work orders (external and internal) invoiced in the quarter


• Caterpillar Business Tools for Service Managers (BTSM)
For access to the Dealer Performance Center, dealers contact your dealer training administrator and Caterpillar staff use the ServiceNow system.

To manage labor hour performance, which includes billable and cost hours. Program Score:
Technician Productivity (TP) 4%
DATA SOURCE:
Dealer ERP System
TIME PERIOD: FORMULA: Billable Hours

Rolling 12-months Attended Hours
REQUIREMENTS: DEMONSTRATED PERFORMANCE LEVELS:

• Attended Hours: Total Billable + Total Non-Chargeable Hours GLOBAL EMERGING ADVANCED EXCELLENT
• Excluded from Attended Hours are Allowed Hours (country specific): vacation, Target ≥ 78% ≥ 82% ≥ 85%
holidays, sickness, family care, accidents, compensatory, government obligation, Score/Points 1 2 3
medical leave and paid personal time.
• Dealers are required to self-report Technician Productivity results by the 20th If minimum criteria for EMERGING is not met, the result is BASIC, resulting in zero (0) points.
calendar day after the end of the Quarter.

Dealer self-reported using the SEP DSRT

• Caterpillar Business Tools for Service Managers (BTSM)
For access to the Dealer Performance Center, dealers contact your dealer training administrator and Caterpillar staff use the ServiceNow system.

To measure the success of revenue creation while managing cost and efficiency, allowing service Program Score:
Profit After Direct Expense (PADE) departments to continue investing and growing the dealership and have a balanced portfolio. 4%
DATA SOURCE:
Dealer Financial Reporting System (DFRS)
FORMULA Service Profit After Direct Expense

(Service PADE %): Service Revenue
TIME PERIOD:
Quarterly, based on a rolling 12-month period, lag one quarter
REQUIREMENTS:
• The PADE number should represent the consolidated service department
PADE and not an individual department. (MARC contracts are included) Score/Points 1 2 3
• PADE benchmark ranges do not suggest a resale price level for parts or US & Canada ≥ 22% ≥ 25% ≥ 28%
service labor but are based on a Caterpillar review of successful dealerships Latin America ≥ 15% ≥ 19% ≥ 24%
and the profitability of their service departments. Asia Pacific ≥ 12% ≥ 18% ≥ 25%
DATA COLLECTION RESPONSIBILITY: Europe, Africa, Middle East & Eurasia ≥ 15% ≥ 19% ≥ 25%
TIME PERIOD EVALUATED
• Dealer Financial Reporting System (DFRS) (Quarterly - Rolling 12 Month - Lag 1 Quarter Date Range)
YEAR QTR FROM TO
• Caterpillar Business Tools for Service Managers (BTSM) 1 1-JAN-2023 31-DEC-2023
For access to the Dealer Performance Center, dealers contact your dealer training administrator and Caterpillar staff 2 1-APR-2023 31-MAR-2024
2024
3 1-JUL-2023 30-JUN-2024
use the ServiceNow system. 4 1-OCT-2023 30-SEP-2024
1 1-JAN-2024 31-DEC-2024
2 1-APR-2024 31-MAR-2025
2025
3 1-JUL-2024 30-JUN-2025
4 1-OCT-2024 30-SEP-2025
SERVICES GROWTH | METRIC ELEMENT PURPOSE: Percent of

Inspection Rate One of the foundational condition monitoring elements is the ability to optimize equipment
inspections and recommend corrective action to customer.
Program Score:
DATA SOURCE: 8%
Cat® Inspect, Cat Wear Management System (CWMS),
CDDW
TIME PERIOD: FORMULA: Count of inspections for assets with invoiced work orders
Quarterly Count of assets with invoiced work orders
REQUIREMENTS:
– Cat Serial number format is 8-digits
• Only includes invoiced work orders with Actual Labor Hours > 0
• Only includes inspections completed by dealers and excludes inspections completed Target ≥ 40% ≥ 50% ≥ 65%
by customers Score/Points 1 2 3
• Results must be submitted by dealer into Cat Inspect or CWMS
• Only includes Cat Inspect form types listed in the table on this page If minimum criteria for EMERGING is not met, the result is BASIC, resulting in zero (0) points.
• Dealer Process forms should be similar to Cat form types (e.g., PM, TA1, etc.)
• Only counts individual Serial numbers once per quarter in denominator Applicable Inspect Form Types
• Counts inspections once in numerator for current and previous quarter # Form Type
• Only counts inspections that are completed and synced 1 CCR - Cat Certified Rebuild
• Includes at least one valid Cat recommended SMCS code segment on a work order 2 Component - Component Specific Inspection
• Asset is identified and measured by serial number 3 Dealer Process - Category created specifically for dealer related processes
• Numerator: Count of inspections for assets with invoiced work orders 4 Hydraulics - Category for dealer/customer hydraulic inspections and processes
• Denominator: Count of assets with invoiced work orders 5 Machine Condition Appraisal - Customer focused category for inspections
DATA COLLECTION RESPONSIBILITY: 6 PM
• Numerator: 7 PM Checklist
– Automated Collection - Caterpillar Service Excellence Team 8 PSSR – Product Support Sales Rep: Category type specifically for PSSR inspections
• Denominator: 9 TA1 - Technical Analysis
– CDDW reporting dealers: Automated by Caterpillar Service Excellence Team
10 TA2 - Technical Analysis - Category for dealer/customer processes
– Non-CDDW reporting dealers: Dealer self-reported using the SEP DSRT
11 Undercarriage (from CWMS)
• Cat Wear Management System
• Cat Inspect

Customer Value Agreement (CVA) Accuracy represents a dealer’s ability to appropriately schedule Program Score:
Customer Value Agreement (CVA) and deliver CVA services such as preventative maintenance (PM) events on registered CVA 6%
Accuracy equipment on time, relative to the Operation and Maintenance Manual (OMM) recommended
maintenance schedule.
DATA SOURCE:
CDDW or Dealer ERP System

Quarterly (Hours): Completed CVA PM Events within ±50 Hours From a PM Interval Reference*
REQUIREMENTS: Completed CVA PM Events
• Includes qualified dealer labor CVA contracts registered in the Foresight system.
• Only applies to Cat Equipment (Manufacture Code = AA). NOTE: *PM Interval Reference is determined using a combination of the following conditions:
• Relative: A multiple of 250-hours from the previous PM Event (+250, +500, +750, +1000) up to +1000, ±50 Hours
• Only includes invoiced work order segments with Actual Labor Hours > 0. • Absolute: A multiple of 250-hours on the Service Meter when a PM Event occurs (250, 500, 750, 1000, etc.), ±50 Hours
• Each PM event requires SMU Hours at Repair > 0.
• Only includes CVA Accuracy SMCS codes (listed on the SMCS Code tab within FORMULA
AAA). (Days): Completed CVA PM Events within ±30 Days From Last Actual PM + Next Interval**
• Specific contract or serial number exclusions are managed by the CVA Completed CVA PM Events
Operations Team. For questions, contact your CVA Operations Consultant.
• See Appendix for SMCS Codes – CVA Accuracy NOTE: **Next Interval is an absolute multiple of 90 Days. This day-based logic applies when the application code in Foresight is set to “Engine-EP
Standby” or a pattern of low hour usage is observed.
• CDDW reporting dealers: Automated by Caterpillar Service Excellence Team DEMONSTRATED PERFORMANCE LEVELS:
• Non-CDDW reporting dealers: Dealer self-reported using the SEP DSRT GLOBAL EMERGING ADVANCED EXCELLENT
CATERPILLAR RESOURCES AND REFERENCES AVAILABLE: Target ≥ 78% ≥ 82% ≥ 85%
• CVA PM Accuracy Dashboard Score/Points 1 2 3
• CVA PM Accuracy Guidebook & Support Materials
• Customer Value Agreements (CVA) If minimum criteria for EMERGING is not met, the result is BASIC, resulting in zero (0) points.
• Foresight
• For the complete list of SMCS codes, go to:
– SMCS Inquiry
▪ Select SMCS Complete Listings file for download
▪ SEP DSRT – CVA PM Accuracy SMCS Codes List tab

CMA Recommendation provides value to customers and is designed to mitigate financial risk on Program Score:
Condition Monitoring Analyst (CMA) service contracts and internal rental fleets and fulfill the CM promise on CVA assets. This metric 4%
Recommendation Coverage element is intended to drive focus on increasing CMA customer coverage, while providing a
DATA SOURCE: framework for prioritization to cover assets with higher aftermarket opportunity.
Cat Foresight or Dealer ERP System

Measured quarterly but reported on a YTD basis: OLGA Opportunity $ for Assets with CMA Recommendations
Q1 Results = January – March Total OLGA Opportunity $
Q2 Results = January – June
Q3 Results = January – September
Q4 Results = January – December
REQUIREMENTS: DEMONSTRATED PERFORMANCE LEVELS:
• Only applies to Cat Equipment (Manufacture Code = AA) GLOBAL EMERGING ADVANCED EXCELLENT
• Numerator: OLGA opportunity of SMCS major class associated with recommendation Target ≥ 2.50% ≥ 5.00% ≥ 10.00%
• Denominator: Total OLGA opportunity
Score/Points 1 2 3
• OLGA Opportunity:
– Takes 3-year average for both numerator and denominator If minimum criteria for EMERGING is not met, the result is BASIC, resulting in zero (0) points.
– The 3-year average consists of previous year, current year, and future year
– Note: Current OLGA opportunity is required to score for this element QUARTERLY SCORING GLIDEPATH (2024 & 2025)
• Recommendations must be published using Cat Foresight, or manually submitted Q1 Q2 Q3 Q4
via the CMA Recommendation Coverage Manual Reporting Template EMERGING ≥ 0.625% ≥ 1.250% ≥ 1.875% ≥ 2.500%
• Recommendations linked to events and/or exceptions with associated Cat SMCS codes ADVANCED ≥ 1.250% ≥ 2.500% ≥ 3.750% ≥ 5.000%
EXCELLENT ≥ 2.500% ≥ 5.000% ≥ 7.500% ≥ 10.000%
• Dealers using Cat Foresight to publish recommendations: Automated by Caterpillar Service Excellence Team
• Non-Cat Foresight/Unite reporting dealers: Dealer self-reported using the CMA Recommendation Coverage Manual Reporting Template
• Condition Monitoring Homepage Note: Recommendations from Caterpillar’s CMA’s will be included in the numerator.
• CM Compass Dashboard • Condition Monitoring Enhanced Coverage Guidebook
• Cat Foresight Homepage • See Appendix for CMA Recommendation Coverage – sample calculation
• Cat Foresight Application

Service Response Service responsiveness is a critical customer requirement both for machine/engine down situations
and for planned maintenance and repair work.
Program Score:
8%
DATA SOURCE:
Production Sterling Integrator Mailbox

Quarterly Number of records with a valid Actual Start Date on or before a valid Planned Start Date
Number of records with valid Planned Start Date and Actual Start Date
REQUIREMENTS:
• Only applies to Cat Equipment (Manufacture Code = AA). THRESHOLD:
• All service transactions for both shop & field for external customers (i.e., exclude Number of records with valid Planned Start Date and Actual Start Date
rental, make-ready, internal work orders) for all customer-facing branch dealer
Total Number of records submitted which contain a valid Actual Completion Date
codes
• Valid dates are dates that:
– Reflect an actual calendar date rather than a placeholder for a null field DEMONSTRATED PERFORMANCE LEVELS:
(e.g., not 1900, not 9999)
– Occur ON OR AFTER the Initial Request Date
– Are submitted in the correct date/time format as listed in the Interface Target ≥ 70% ≥ 80% ≥ 90%
Definition document Score/Points 1 2 3
• Monthly (minimum) submission of Service Response Data Elements to
Threshold ≥ 85% - -
Caterpillar is due by 10th calendar day of the month, including:
– Dealer Code, Service Request ID, Initial Request Date, Dealer Account
Number, Asset Serial Number, Dealer Manufacturer Code, Repair Dealer
Code, Work Order Number, Shop Field Code, Planned Start Date, Actual
Start Date, Planned Completion Date, Actual Completion Date, Customer-
Requested Start Date
– Include time along with the date, if available.
• Dealer self-reported using the Production Sterling Integrator Mailbox

• Service Commitment Interface Definition
SERVICES GROWTH | ATTRIBUTE ELEMENT WHY THE PRACTICE MATTERS: Percent of

The service department can enhance customer experience by providing effective communication Program Score:
Service Experience via easy-to-use apps or software. Delivering on service commitments can also improve customer 5%
loyalty and strengthen the brand.
PROGRAM ELEMENTS IMPACTED:
Service Net Loyalty Score (NLS)
Service Response
TIME PERIOD:
Quarterly
DEMONSTRATED CAPABILITY LEVELS:

EMERGING ADVANCED EXCELLENT
a) Dealership has and consistently follows a communication a) Dealership has a centralized, ERP-integrated, direct two-way a) Dealership has communication system metrics and use them
process that allows service personnel to provide status communication solution such as "Cat Interact" that allows for process improvement.
updates, and quotes/estimates to their customers and service personnel to send mobile (e.g., SMS, WhatsApp, b) Dealership is currently offering and promoting a service
internal partners. other than email) status updates, inspections, and response time guarantee.
b) Dealership submits Service Response Data Elements to quotes/estimates to their customers and internal partners.
Caterpillar monthly, weekly, or daily. b) Dealership uses the Service Response Data elements to
improve performance.
To receive credit for increasing maturity levels, all capabilities from previous levels must have been met.
REQUIREMENTS:
• Attribute assessment required annually
• The latest assessment from the Interface will be used to assess the attribute element – Due by the last day of the Quarter
• Monthly (minimum) submission of Service Response Data Elements to Caterpillar, including:
o Dealer Code, Service Request ID, Initial Request Date, Dealer Account Number, Asset Serial Number, Dealer Manufacturer Code, Repair Dealer Code, Work Order Number, Shop Field Code,
Planned Start Date, Actual Start Date, Planned Completion Date, Actual Completion Date, Customer-Requested Start Date
o Include time along with the date, if available.
• PSOR reported using Interface
CATERPILLAR RESOURCES AND REFERENCES:
• Service Commitment Interface Definition
PURPOSE: Percent of
SERVICES GROWTH | METRIC ELEMENT
Focus on a dealer’s rebuild capability. Component Rebuild Shops including CRCs and Program Score:
Rebuild Capability (CRCA) Specializations Shops for Engine, Drive Train and Hydraulics. 8%
DATA SOURCE:
CAT Inspect, CI Assessment Analysis, and Hard Asset Tool (HAT)

Rolling 12-months (CRCA core criteria score):
Core Criteria Points From All Completed CRCAs
REQUIREMENTS: Total Possible Points for All Facilities
• Component Rebuild Capability Assessment (CRCA) required for all dealer eligible
facilities a minimum of one time per year
– Eligible facilities are identified in the Hard Asset Tool (HAT)
• Results for all eligible dealer facilities must be submitted into Cat Inspect
• If a dealer makes improvements after a CRCA is completed that would improve DEMONSTRATED PERFORMANCE LEVELS
the CRCA score, the dealer may complete a partial assessment for the applicable GLOBAL EMERGING ADVANCED EXCELLENT
questions. The partial assessment score will be merged to the previous
Target 75% 85% 95%
assessment(s) and the new completion date is applied.
– Audits expire 365 days after the last completion Score/Points 1 2 3
• Numerator: Core Criteria Points from all completed CRCAs
• Denominator: Number of CRCA facilities x Total min/max Core Question points
Note: If a CRC and a Spec Shop use the same dealer branch code, include both facilities in one CRCA
• Automated by Caterpillar Service Excellence Team
assessment.
• See Appendix for CRC Assessments Process
• Component Rebuild Capability Category Scores
• Cat Inspect Analysis for CRCA
• HAT Tool
• HAT training link – Input Training for CRC-SPEC Shop identification
• CRCA Training (Voice Over)

Assess dealer’s usage of repair standards and identify their component rebuild capabilities. Program Score:
Standard Jobs (SJ) – Repair & This is critical to profitability and the ability to remain competitive in offering market base 6%
Rebuild priced options that meet customer component repair and rebuild needs.
DATA SOURCE:
CDDW or Dealer ERP System

Quarterly Segments with Planned Hours
Segments with Actual Hours that meet SMCS codes
REQUIREMENTS:
• Only applies to Cat Equipment (Manufacture Code = AA)
• Only includes invoiced work order segments with Planned and Actual Labor Hours > 0.
• Only work order segments within the defined Standard Jobs Service Management GLOBAL EMERGING ADVANCED EXCELLENT
Control System (SMCS) component and job code range will be included. Target ≥ 60% ≥ 70% ≥ 85%
– Dealers not using SMCS codes within their work order system and repair Score/Points 1 2 3
process will automatically score a zero (0).
• All service repairs facilities must be included (e.g., separate CRCs, etc.)
• Planned Hours: Dealer-defined labor hours (standard/flat rate/target) available to
complete the segment level defined work.
• Actual Labor Hours: Actual labor hours in segment to complete work NOTE: The Standard Jobs element is a measure of service’s use of planned hours for standard jobs. It is
• See Appendix for SMCS Codes – Standard Jobs (SJ) a measure of how frequently planned hours are used on segments within the defined standard SMCS
component and job code range.
• CDDW reporting dealers: Automated by Caterpillar Service Excellence Team
• Non-CDDW reporting dealers: Dealer self-reported using the SEP DSRT

• Repair Options website
• SEP 2024 ThoughtSpot Liveboard
For access to the ThoughtSpot, dealers contact your dealer ThoughtSpot administrator and Caterpillar staff use the Power Apps request form.

Service responsiveness is a critical customer requirement both for machine/engine down situations Program Score:
Remote Service and for planned maintenance and repair work. It is important that dealers have the right processes, 5%
tools, and resources to act with a sense of urgency to support product availability and uptime. The
DATA SOURCE: goal of Service Commitment is to demonstrate unparalleled customer experience while responding
Remote Service Database to competitive pressures.
TIME PERIOD:
FORMULA
Measured quarterly but reported on a YTD basis: Number of Successfully Completed Equipment Flashes
Q1 Results = January – March (Remote Equipment Flash):
* Flash Opportunity
Q2 Results = January – June
Q3 Results = January – September FORMULA
Q4 Results = January – December (Remote Troubleshoot): Count of Successful Remote Troubleshoot Sessions
* Troubleshoot Opportunity
NOTE: The final Score/Points is the lowest result of the two measures
REQUIREMENTS (Remote Equipment Flash): * The denominator (opportunity) is refined and fixed for each quarter.
• Numerator: Count of successfully completed equipment flashes DEMONSTRATED PERFORMANCE LEVELS:
– Does not have to be unique serial numbers GLOBAL EMERGING ADVANCED EXCELLENT
• Denominator: * Flash Opportunity Target (Remote Flash) ≥ 30% ≥ 40% ≥ 50%
• Opportunity: Target (Remote Troubleshoot) ≥ 10% ≥ 20% ≥ 30%
– Assets promoted as having updates Score/Points ** 1 2 3
– *Opportunity of promoted assets as refined for each quarter If minimum criteria for EMERGING is not met, the result is BASIC, resulting in zero (0) points.
REQUIREMENTS (Remote Troubleshoot (RT)): ** The final Score/Points is the lowest result of the two measures (e.g. RF = Advanced & RT = Emerging; Final = Emerging)
• Numerator: Count of successful RT sessions (any session, including those on QUARTERLY SCORING GLIDEPATH FOR REMOTE SERVICES (2024 & 2025)
PL542) CATEGORY THRESHOLD Q1 Q2 Q3 Q4
EMERGING ≥ 7.50% ≥ 15.00% ≥ 22.50% ≥ 30.00%
– Does not have to be unique serial numbers and/or remote request Product Status
Remote Flash ADVANCED ≥ 10.00% ≥ 20.00% ≥ 30.00% ≥ 40.00%
Reports (PSRs) EXCELLENT ≥ 12.50% ≥ 25.00% ≥ 37.50% ≥ 50.00%
• Denominator: *Troubleshoot Opportunity EMERGING ≥ 2.50% ≥ 5.00% ≥ 7.50% ≥ 10.00%
– Count of RT capable equipment that shipped from factory with hardware other Remote
ADVANCED ≥ 5.00% ≥ 10.00% ≥ 15.00% ≥ 20.00%
Troubleshoot
than PL542 EXCELLENT ≥ 7.50% ≥ 15.00% ≥ 22.50% ≥ 30.00%
• Opportunity:
– *Opportunity of Remote Troubleshoot capable assets as refined for each quarter
DATA COLLECTION RESPONSIBILITY: • Remote Service website • Remote Service FAQ’s
Automated by Caterpillar Service Excellence Team • Remote Service dashboard • Remote Service Equipment Details
Appendix
IN THIS SECTION:
Acronyms
SEP Element Data Source & Calculation Frequency Summary
Caterpillar Roles & Responsibilities
Service RIF – Service Department Personnel Inclusions & Exclusions
SMCS Codes – Standard Jobs
SMCS Codes – Customer Value Agreements (CVA) Accuracy
CMA Recommendation Coverage – Sample Calculation
Rebuild Capability – Component Rebuild Capability Assessments (CRCA) Process

Appendix
ACRONYMS
This list of acronyms pertains to what has been referenced within this guidebook. You can access the Caterpillar acronyms database at https://i4u.cat.com/en/elibrary/acronyms.html.
Applied Failure Analysis (AFA) Equipment Protection Plan (EPP) Product Problem Management (PPM)
Business Information Center (BIC) Extended Service Coverage (ESC) Product Status Reports (PSRs)
Business Tools for Service Managers (BTSM) Global Assessment Application (GAA) Product Support Customer Relationship Management (PSCRM)
Capacity & Capability (CAP & CAP) Global Dealer Learning (GDL) Product Support Operations Representative (PSOR)
Cat Digital Data Warehouse (CDDW) Hard Asset Tool (HAT) Product Support Sales Representatives (PSSR)
Cat® Opportunity Lead Generation Analyzer (OLGA) Interim Corrective Action (ICA) Profit After Direct Expense (PADE)
Caterpillar Production Systems (CPS) Job Code (JC) Recordable Injury Frequency (RIF)
Component Rebuild Capability Assessment (CRCA) Last Labor to Invoice (LLTI) Region Manager (RM)
Component Rebuild Center (CRC) Maintenance & Repair Contracts (MARC) Remote Troubleshoot (RT)
Condition Monitoring Analyst (CMA) Net Loyalty Score (NLS) Repair Option (RO)
Construction Industries (CI) New Market Introduction (NMI) Resource Industries (RI)
Contamination Control (CC) New Product Introduction (NPI) Schedule Oil Sampling (SOS)
Continuous Improvement (CI) On-Time-In-Full (OTIF) Service Excellence Program (SEP)
Corporate Web Security (CWS) Operation and Maintenance Manual (OMM) Service Information Management System (SIMS / SIMSi)
Customer Service Agreements (CSA) Operational Excellence (OPEX) Service Management Control System (SMCS)
Customer Support Sales Representatives (CSSR) Original Equipment Manufacturer (OEM) Service Meter Units (SMUs)
Customer Value Agreements (CVA) Parts Sold Through Service (PSTS) Technical Communicator (TC)
Dealer Center of Excellence (DCOE) Percent of Labor Share (POLS) Technician Career Development Program Accreditation (TCDPA)
Dealer Financial Reporting System (DFRS) Percent of Parts Sales (POPS) Technician Productivity (TP)
Dealer Self-Reporting Tool (DSRT) Percent of Rental Revenue Opportunity (PRRO) Total Maintenance & Repair (TM&R)
Energy & Transportation (E&T) Percentage of Industry Sales (PINS) Transactional Survey Program (TSP)
Enterprise Resource Planning (ERP) Preventative Maintenance (PM) Work in Process (WIP)
Environmental Health & Safety (EHS) Product Improvement Program (PIP) Work Order (WO)
Equipment Management (EM) Product Information System (PIS) Virtual Private Network (VPN)
Year to Date (YTD)
Appendix
SEP ELEMENT DATA SOURCE & CALCULATION FREQUENCY SUMMARY
Element Type
Category Element Name SEP Data Source Frequency Reporting Timeframe Data Collection
(Metric / Attribute)
Cat® Safety Reporting Tool (ADSD & EAME),
Service Recordable Injury Frequency (Service RIF) Metric APD Dealer Safety Reporting Tool
YTD 10th of each Month Manual - Dealer Self-Reported
Contamination Control (CC) Metric Cat® Inspect Rolling 12-months Last Day of Month Caterpillar Automated
Safety &
Quality Technician Capability (TCDPA) Metric TCDPA SharePoint Quarterly Last Day of Month Caterpillar Automated
25%
Product Information System (PIS),
Product Improvement Program Completion Metric Rolling 12-months Last Day of Month Caterpillar Automated
Business Information Center (BIC)
Service Data Quality (SDQ) Metric Cat Digital Data Warehouse (CDDW) Quarterly Last Day of Month Caterpillar Automated ▲
Technician Capacity (Tech Plan) Metric Hard Asset Tool (HAT) YTD 10th of Month after QTR end Manual - Dealer Self-Reported
Service Net Loyalty Score (NLS) Metric Business Information Center (BIC) Rolling 12-months Last Day of Month Caterpillar Automated
Operational
Excellence Last Labor to Invoice (LLTI) Metric Cat Digital Data Warehouse (CDDW) Quarterly Last Day of Month Caterpillar Automated ▲
25%
Dealer ERP System,
Technician Productivity (TP) Metric Rolling 12-months 20th of Month after QTR end Manual - Dealer Self-Reported
Dealer Self-Reported Tool (DSRT)
Profit After Direct Expense (PADE) Metric Dealer Financial Reporting System (DFRS) Rolling 12-months, Lag 1Q Last Day of Month Caterpillar Automated
Cat® Inspect,
Inspection Rate Metric Quarterly Last Day of Month Caterpillar Automated ▲
Cat Digital Data Warehouse (CDDW)
Cat Digital Data Warehouse (CDDW),
Customer Value Agreement (CVA) Accuracy Metric Quarterly Last Day of Month Caterpillar Automated ▲
CVA Accuracy Automated Algorithm (AAA) Tableau
CMA Recommendation Coverage Metric Cat Digital Data Warehouse (CDDW) YTD Last Day of Month Caterpillar Automated
Services
Growth Service Response Metric Production Sterling Integrator Mailbox Quarterly 10th of each Month Manual - Dealer Self-Reported
50%
Service Experience Attribute Interface Quarterly Last Day of Quarter Manual - PSOR Reported
CAT Inspect, CI Assessment Analysis, and Hard Asset
Rebuild Capability (CRCA) Metric Tool (HAT)
Rolling 12-months Last Day of Month Caterpillar Automated
Standard Jobs (SJ) – Repair & Rebuild Metric Cat Digital Data Warehouse (CDDW) Quarterly Last Day of Month Caterpillar Automated ▲
YTD
Remote Service (Remote Flash & Remote Troubleshoot) Metric Remote Service Database (Skywalker) Last Day of Month Caterpillar Automated
(Opportunity Refined Quarterly)
▲= Non-CDDW dealers self-report via the SEP Dealer Self-Reporting Tool (DSRT)
Appendix
CATERPILLAR ROLES & RESPONSIBILITIES
Caterpillar has a commitment and responsibility to the assessment process and follow-through. Specific responsibilities for each role may vary by region.
Product Support Operations Representative (PSOR) Dealer Center of Excellence Support (DCOE) Service Excellence Program Team
(District Focus) (Regional Focus) (Global Focus)
• Execute program with dealer • Provide program execution support to the region • Overall program ownership
• Governance of progress • Governance of progress • Provide training and support for DCOE consultants
• Provide training and support for dealer • Provide training and support for PSORs • Align with Operational Excellence (OPEX) owners, global
• Align with dealer initiatives and Industry (RI, CI, and E&T) • Align to and support gaps for key regional initiatives industry teams, Global Service, industry, and regional service
targets (as needed) • Regional program communications managers
• Socialize program communications with district and • Validate final scores and obtain medal endorsements • Global program communications
dealer • Analyze and communicate district and region performance • Compile SEP results (measures, metrics & attributes)
• Conduct annual attribute assessments trends • Calculate and report final scores and medals
• Validate and monitor all dealer results • Collaborate with PSOR to develop and prioritize resources • Track, analyze and share regional performance results and
• Ensure dealer and district understand SEP medal and that close gaps trends as permissible
score results • Identify, share, and support implementation of dealer • Produce and share program insights as permissible
• Assess individual dealer performance against targets and practices as permissible • Support in identifying tools and resources for closing gaps
trends • Track success of implemented practices • Gather and share practices (dealer, internal and external) that
• Research and understand root causes of dealer gaps support gap closure as permissible
• Align with DCOE for support
• Collect dealer practices as permissible
• Support the sharing and implementation of dealer
practices as permissible
Appendix
SERVICE RIF – SERVICE DEPARTMENT PERSONNEL INCLUSIONS & EXCLUSIONS
Requirements
• The “Dealer Safety Metrics: Definitions and Process” document takes precedence over any specifics provided in this list.
 NOTE: This list is not all encompassing, but rather it is intended to be aligned with Dealer Financial Reporting System (DFRS) requirements.
ANY Dealer personnel that report to service department supervision (service department controls the day-to-day work of the dealer employees), even if the employee(s) reside on another
department’s financial statement, must be included in the Service RIF calculation.
EXAMPLES OF INCLUSIONS EXAMPLES OF EXCLUSIONS

• Field and Shop Service (All Branches) • VP and Executive Level Service Management
• Managers and Supervisors • Branch Managers (when their responsibilities span beyond service)
• Service Administrative/Clerical Personnel • Marketing and Sales Personnel
– Contamination Control Personnel • Product Support Sales Representatives (PSSR)/Customer Support Sales Representatives
– Continuous Improvement/Caterpillar Production Systems (CPS) Champions (CSSR)
• Technical Communicators, Technical Engineers, Applied Failure Analysis (AFA) Engineers • Dedicated Parts Operations Personnel
• Warranty Administrators – Hose Shop/Hose Van Personnel
• Customer Value Agreements (CVA)/Customer Support Agreements (CSA) and Equipment – Parts Delivery Personnel
Management (EM) Personnel • Human Resources
– Only those personnel who work directly for service department (e.g., Supervisors, planners, • Rental Personnel
technicians, Condition Monitoring Analysts) – Marketing
• Service Technicians (full-time, part time, trainees) – Sales
– Including those dedicated to specific industries and sites – Rental Service
▪ Construction Industries (CI) – Equipment Operators
▪ Resource Industries (RI) (Mining) • Progress Rail
▪ Energy & Transportation (E&T) • Second-Level Dealer Personnel
• Included only if they work directly for service department Service Training Personnel (e.g., managers, • S∙O∙S℠ Laboratory Personnel
trainers, clerical) • Yard Personnel
– Employees contracted to service department • Building/Facilities Maintenance Personnel
– Environmental, Health and Safety (EHS) Management
– Cleaning Personnel
Appendix
SMCS CODES – SERVICE DATA QUALITY (SDQ)
SEP2024 Not Recommended SMCS Code usage can be summarized as:

Not Recommended Caterpillar SMCS Job Codes
All segments should have 3 position Job Codes and 4 position Component Codes otherwise they are Invalid.
027 840
037 844 Do not use:
039 848
• Dealer SMCS Codes in the following ranges (090-499), (900-999), (9000-9999) or (AAAA-ZZZZ) or (A00A-Z00Z) on Caterpillar Equipment
525 849 • Caterpillar SMCS Component Reserved Ranges: (‘2000’– ‘2999’ or ‘8000’-‘8999’)
526 852 • Caterpillar SMCS Job or Component Ranges that have not yet been defined
• SMCS Special Job Codes Obsolete (see OBSOLETE JOB codes)
805 863
807 865
815 868
816 870
817 872
819 874
820 875
821 880
825 888
830 890
Not Recommended Caterpillar SMCS Job Code

when paired with certain Component Codes * SMCS Not Recommended Job & Component Code Combinations
*010 *023 010-7000 023-0000 540-0685

*012 *540 012-7000 023-1000 540-1000
020-7950 023-1400 540-7000
*020 *590
020-7951 023-3030 540-7006
023-3101 590-7751
023-3258 590-7755
023-4000
023-4050
023-5050
023-7000
023-7950
Appendix
SMCS CODES - STANDARD JOBS (SJ)
Caterpillar Caterpillar SMCS
Caterpillar SMCS Caterpillar SMCS
SMCS Job Caterpillar Description Caterpillar Description Caterpillar Description_ Component Caterpillar Description__
Component Code Component Code_
Code Code__
005 SALVAGE 1000 ENGINE 3253 DRIVE SHAFT 5229 BLADE SIDESHIFT CYLINDER
006 PROGR AS RECONDITION 1052 TURBOCHARGER 3258 DIFFERENTIAL 5265 ARTICULATION CYLINDER
007 RECONDITION AFTER FAILURE 1063 AFTERCOOLER 3260 AXLE HOUSING ASSEMBLY 5352 RIPPER LIFT CYLINDER
AXLE HOUSING
010 REMOVE & INSTALL 1100 CYLINDER HEAD ASSEMBLY 3268 5356 RIPPER TILT CYLINDER
SUPPORT/TRUN
011 REMOVE 1201 CYLINDER BLOCK 3278 DRIVE AXLE 5456 BOOM CYLINDER
012 INSTALL 1225 PISTON & CONNECTING ROD 3282 AXLE 5457 BUCKET CYLINDER
FINAL DRIVE & BRAKE
013 REPLACE WITH DLR EXCHNGE 1250 FUEL SYSTEM 4001 5458 STICK CYLINDER
WHEEL
014 REPLACE GASKET / SEAL 1251 FUEL INJECTION PUMP 4006 WHEEL & BRAKE ASSEMBLY 5459 SWING DRIVE
015 DISASSEMBLE 1256 FUEL TRANSFER PUMP 4008 FINAL DRIVE, BK & WHEEL 5468 STABILIZER CYLINDER
016 ASSEMBLE 1264 GOVERNOR 4011 FINAL DRIVE & BRAKE
017 DISASSEMBLE & ASSEMBLE 1286 GOVERNOR & FUEL INJ PUMP 4050 FINAL DRIVE
STEERING CLUTCH &
019 RECON BEFORE FAILURE 1290 UNIT INJECTOR 4100
BRAKE
020 RECONDITION 1304 ENGINE OIL PUMP 4151 TRACK ROLLER FRAME
021 RECONDITION FOR EXCHANGE 1351 RADIATOR & OIL COOLER 4157 TRACK ADJUSTER
022 REMV RECONDITION & INSTL 1353 RADIATOR 4159 IDLER/IDLER WHEEL
026 RECONDITION IN FRAME 1359 FAN DRIVE 4251 SERVICE BRAKE
028 REPLACE BEARINGS & SEALS 1361 WATER PUMP 4263 BRAKE ACCUMULATOR
02A RECONDITION W/ LVL 1 PRTS 1365 BRAKE/AXLE OIL COOLER 4267 PARKING BRAKE
02B RECONDITION W/ LVL 2 PRTS 1374 HYDRAULIC OIL COOLER 4303 STEERING CYLINDER
02C RECONDITION W/ LVL 3 PRTS 1375 TC/TRANS OIL COOLER 4306 STEERING PUMP
02D RECON CAT CERT MACH RBLD 1378 ENGINE OIL COOLER 4351 HYD PROPEL/DRIVE MOTOR
HYDRAULIC CONTROL
02E RECON CAT CERT CPT RBLD 1381 RADIATOR & GUARD 5051
VALVE
02F RECON CAT CERT HYD RBLD 1386 HYDRAULIC FAN MOTOR 5055 VANE PUMP
02G RECON CAT CERT CER RBLD 1387 HYDRAULIC FAN PUMP 5056 HYDRAULIC TANK
02H RECON CAT CERT CPT+H RBLD 1404 GENERATOR 5058 PISTON MOTOR
RECON W/YELLOWMARK
02L 1405 ALTERNATOR 5059 PILOT CONTROL VALVE
PARTS
510 REPLACE 1453 ELECTRIC STARTING MOTOR 5060 SWIVEL
511 REPLACE WITH NEW 1803 AIR COMPRESSOR 5070 PISTON PUMP
513 REPLACE WITH CAT REMAN 3000 TRANSMISSION & DRIVE LINE 5073 GEAR PUMP
Appendix
SMCS CODES - STANDARD JOBS (SJ) - CONTINUED
Caterpillar Caterpillar SMCS
Caterpillar SMCS Caterpillar SMCS
SMCS Job Caterpillar Description Caterpillar Description Caterpillar Description_ Component Caterpillar Description__
Component Code Component Code_
Code Code__
TRANS & TORQUE
520 OVERHAUL 3001 5077 HYDRAULIC ACCUMULATOR
CONVERTER
522 R&I, RECON BEFORE FAILURE 3002 TRANS & TRANSFER GEARS 5084 IMPLEMENT PUMP
523 R&I, RECON AFTER FAILURE 3003 TRANS, TC & TRF GEARS 5085 PILOT PUMP
528 REPLACE BUSHING/BEARING 3010 TRANS, BEVEL & TFR GEARS 5101 ANGLING CYLINDER
650 RECON CAT CERT CMCR-ENG 3013 AXLE ARRANGEMENT 5102 LIFT/HOIST CYLINDER
651 RECON CAT CERT CMCR-T 3030 TRANSMISSION 5104 TILT CYLINDER
652 RECON CAT CERT CMCR-A-F 3066 TRANSMISSION OIL PUMP 5105 SWING CYLINDER
653 RECON CAT CERT CMCR-A-C 3101 TORQUE CONVERTER 5106 TIP CYLINDER
654 RECON CAT CERT CMCR-A-R 3108 PUMP DRIVE 5207 CIRCLE DRIVE
655 RECON CAT CERT CMCR-F 3115 TC/TRANS SCAVENGE PUMP 5211 WHEEL LEAN CYLINDER
656 RECON CAT CERT CMCR-D-F 3159 TRANSFER GEARS 5223 CENTERSHIFT CYLINDER
657 RECON CAT CERT CMCR-D-C
658 RECON CAT CERT CMCR-D-R
Appendix
SMCS CODES - CUSTOMER VALUE AGREEMENTS (CVA) ACCURACY
Caterpillar SMCS Caterpillar SMCS Caterpillar SMCS

Caterpillar Description Caterpillar Description_ Caterpillar Description__
Component Code Component Code_ Component Code__
7501 PM 1 7547 10000 SERVICE HOUR MAINT 753A 2500 SERVICE HOUR MAINT
7502 PM 2 7548 12000 SERVICE HOUR MAINT 753B 4500 SERVICE HOUR MAINT
7503 PM 3 7549 15000 SERVICE HOUR MAINT 754A 7500 SERVICE HOUR MAINT
7504 PM 4 750A SPRING PM 754B 18000 SERVICE HOUR MAINT
7515 PM 5 750B FALL PM 754C 2-YEAR MAINTENANCE
7521 50 SERVICE HOUR MAINT 750P PM 6 754D 7000 SERVICE HOUR MAINT
7522 100 SERVICE HOUR MAINT 750Q PM 7 754E 3-YEAR MAINTENANCE
7523 125 SERVICE HOUR MAINT 750R PM 8 754F 9000 SERVICE HOUR MAINT
7524 250 SERVICE HOUR MAINT 750S PM 9 754G 11000 SERVICE HOUR MAINT
7525 500 SERVICE HOUR MAINT 750T PM 10 754H 13000 SERVICE HOUR MAINT
7526 1000 SERVICE HOUR MAINT 750U PM 11 754J 14000 SERVICE HOUR MAINT
7527 2000 SERVICE HOUR MAINT 750V PM 12 754K 12500 SERVICE HOUR MAINT
7529 4000 SERVICE HOUR MAINT 750W EOD PM 754L 3500 SERVICE HOUR MAINT
7530 200 SERVICE HOUR MAINT 752A INITIAL 250 SERVICE HOURS 754M 4-YEAR MAINTENANCE
7531 300 SERVICE HOUR MAINT 752B INITIAL 500 SERVICE HOURS 754N 1-YEAR MAINTENANCE
7532 375 SERVICE HOUR MAINT 752C BEFORE OPERATION MAINTENANCE 754P 5-YEAR MAINTENANCE
7533 600 SERVICE HOUR MAINT 752D 150 SERVICE HOUR INTERVAL 754Q QUARTERLY MAINTENANCE
7534 750 SERVICE HOUR MAINT 752E 8 SERVICE HOUR MAINT 754S 6-YEAR MAINTENANCE
7535 800 SERVICE HOUR MAINT 752F 16 SERVICE HOUR MAINT 754T 20000 SERVICE HOUR MAINT
7536 1200 SERVICE HOUR MAINT 752G 80 SERVICE HOUR MAINT 754U 30000 SERVICE HOUR MAINT
7537 1400 SERVICE HOUR MAINT 752H 320 SERVICE HOUR MAINT 754V 6-MONTH MAINTENANCE
7538 1500 SERVICE HOUR MAINT 752K 1250 SERVICE HOUR MAINT 754W 10-YEAR MAINTENANCE
7539 1600 SERVICE HOUR MAINT 752L 1750 SERVICE HOUR MAINT 754X 24000 SERVICE HOUR MAINT
7543 6000 SERVICE HOUR MAINT 752M 400 SERVICE HOUR MAINT 754Y 25000 SERVICE HOUR MAINT
7544 8000 SERVICE HOUR MAINT 754Z 50000 SERVICE HOUR MAINT
7545 3000 SERVICE HOUR MAINT 758S 8 STEP PM
7546 5000 SERVICE HOUR MAINT
Appendix
CMA RECOMMENDATION COVERAGE – SAMPLE CALCULATION
Published Recommendations in Cat Foresight
FORMULA: OLGA Opportunity $ for Assets with CMA Recommendations

Total OLGA Opportunity $
Numerator: $47,345
Denominator: $95,867
Result: 49.386%
Appendix
REBUILD CAPABILITY – COMPONENT REBUILD CAPABILITY ASSESSMENTS (CRCA) PROCESS 8 Core Question Rating Points CRCA Rating Rating %
Applicable Component Rebuild Capability Assessment (CRCA) NA 0 Basic < 35%
• Component Rebuild (Spec Shop / CRC) = YES Basic 1 Foundational 35%
• General Bays and Other Capability Bays = NO Foundational 4 Advanced 65%
Advanced 7 Best in Class 90%
Calculating CRCA Rating and SEP Score Best in Class 10
FORMULA: Points on Core Criteria - From all completed CRCAs
Total Possible Points (number of CRCA facilities x Total min/max Core Question points)
Step 1: Each individual facility completes a CRCA and receives “points” based on the individual levels achieved for each of the 8 “core” questions
Note: All applicable facilities must be assessed annually to meet the minimum criteria to achieve a score better than BASIC.
Step 2:
• Numerator - add total accumulated points from all completed CRCAs for the dealer
• Denominator – add the maximum number of achievable points for all assessed component rebuild capable facilities
DEALER 1 - EXAMPLE DEALER 2 - EXAMPLE

Facility 1 Facility 2 Facility 3 Total Facility 1 Facility 2 Facility 3 Total
Numerator 80 56 45 181 Numerator 80 80 No Audit 160
Denominator 80 80 80 240 Denominator 80 80 80 240
Total 100.00% 70.00% 56.25% 75.42% Total 100.00% 100.00% N/A 66.67%
CRCA Core Rating Best in Class Advanced Foundational CRCA Core Rating Best in Class Best in Class Basic
SEP RATING EMERGING SEP RATING BASIC
Guidebook Change Log

1. 15-Nov-2023 – Initial Release – v1.0
© 2024 Green
Caterpillar Confidential: Caterpillar.
| © 2024 All RightsAllReserved.
Caterpillar. CAT, CATERPILLAR,
Rights Reserved. LET’S DO
SEPTHE WORK, their respective logos, “Caterpillar Corporate Yellow”, the “Power Edge” and Cat “Modern
2024 Guidebook_v1.0 51
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Caterpillar: Confidential trade dress as well as corporate and product identity used herein, are trademarks of Caterpillar and may not be used without permission.

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SERVICE EXCELLENCE

Caterpillar: Confidential Green

Operational Excellence Elements

Operational Excellence Programs at a Glance 4 Service Net Loyalty Score (NLS) 27

OPERATIONAL EXCELLENCE PROGRAMS AT A GLANCE

Grow & Evolve Capabilities

Five Dealer Operational Excellence Programs

Operational Excellence Programs make dealer successes and improvement

Connection to Leadership Tables

SERVICE EXCELLENCE OVERVIEW

SERVICE EXCELLENCE OVERVIEW

SERVICE EXCELLENCE INTRODUCTION

Service Excellence Connection to Global Service Strategy

• Superior Customer Service Experience

Key Areas of Focus

Dealer Practices for Service

Service Excellence Introduction

• Focus on core business outcomes

Exclusions for Service Excellence

What is Service Excellence?

Why it Matters What’s in It for Dealers & What’s Changed?

Service Excellence Attribute Element Assessment

How Is Data Collected?

How Are Results Communicated?

Silver: ≥ 60% and < 75% on the program score

Bronze: ≥ 40 and < 60% on the program score

Non-Scoring: < 40%

Year-End Medal Calculation

2024 and 2025

Service Excellence Program Categories

SAFETY & QUALITY

SAFETY & QUALITY | METRIC ELEMENT PURPOSE: Percent of

SAFETY & QUALITY | METRIC ELEMENT PURPOSE: Percent of

CATERPILLAR RESOURCES AND REFERENCES AVAILABLE:

SAFETY & QUALITY | METRIC ELEMENT PURPOSE: Percent of

TIME PERIOD: FORMULA

DATA COLLECTION RESPONSIBILITY:

CATERPILLAR RESOURCES AND REFERENCES AVAILABLE:

SAFETY & QUALITY | METRIC ELEMENT PURPOSE: Percent of

TIME PERIOD: DEMONSTRATED PERFORMANCE LEVELS:

TIME PERIOD: FORMULA

CATERPILLAR RESOURCES AND REFERENCES AVAILABLE:

OPERATIONAL EXCELLENCE | METRIC ELEMENT PURPOSE: Percent of

TIME PERIOD: FORMULA Technicians at End of Quarter

OPERATIONAL EXCELLENCE | METRIC ELEMENT PURPOSE: Percent of

TIME PERIOD: FORMULA:

CATERPILLAR RESOURCES AND REFERENCES AVAILABLE:

OPERATIONAL EXCELLENCE | METRIC ELEMENT PURPOSE: Percent of

DATA COLLECTION RESPONSIBILITY:

CATERPILLAR RESOURCES AND REFERENCES AVAILABLE:

OPERATIONAL EXCELLENCE | METRIC ELEMENT PURPOSE: Percent of

TIME PERIOD: FORMULA: Billable Hours

REQUIREMENTS: DEMONSTRATED PERFORMANCE LEVELS:

DATA COLLECTION RESPONSIBILITY:

CATERPILLAR RESOURCES AND REFERENCES AVAILABLE:

OPERATIONAL EXCELLENCE | METRIC ELEMENT PURPOSE: Percent of

FORMULA Service Profit After Direct Expense

SERVICES GROWTH | METRIC ELEMENT PURPOSE: Percent of

SERVICES GROWTH | METRIC ELEMENT PURPOSE: Percent of

010 023 010-7000 023-0000 540-0685